Nearly 10 years ago, Sheila Bair's two young children made a discovery: They were curious about money.
They wanted to know where money came from, how to use it and what was the value of all those coins scattered around the house.
As a financial regulator with a University of Kansas law degree, Bair had the background to teach her children money skills. But it made her wonder what resources were available to help other parents teach their children about dollars and cents.
She found little to her liking, so it motivated her to write her own book, "Rock, Brock and the Savings Shock."
Published in 2006 by Albert Whitman & Co., the book tells the story of two young boys. Rock burns through his allowance on every toy and trinket that touches his hands, while his thrifty brother Brock saves to buy a telescope and presents for family members.
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The book, written in rhyme, aims to teach children sound money management skills.
"By seeing Brock's humongous take," writes Bair, "Rock finally realized his mistake. From that day on, he saved his loot and gave up on his spending toot."
That tale prompted a second book, "Isabel's Car Wash," which was published last year. It's a story about a resourceful child who wants to run a business and earn money to buy a doll.
Bair doesn't have much time these days to write about kids and money. As chairman of the Federal Deposit Insurance Corp., she's preoccupied with applying bandages to keep the nation's banking system intact.
Still, her interest hasn't waned in wanting to help youngsters become money savvy.
If anything, she said in an interview during a recent stop in Kansas City, Mo., the world financial crisis has made it even more important for children to learn valuable money skills about saving, investing and spending.
Bair is particularly concerned about raising children in a culture that seems to promote "excess consumerism."
"I think there is a real problem because we're telling our children not to save," Bair said. "The mindset is all about credit."
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Parents, she said, are doing their children a disservice and sending the wrong messages by living beyond their means, spending for the moment, and racking up credit card debt.
How can parents prepare their children to enter a financial world that promises to get only more complicated?
Bair offered these savings tips for children in her first book:
-- Save at least 10 percent of your allowance every week.
-- Ask your parents if they will give you a little extra money every time you save.
-- Use a clear container to hold your savings so you can watch your cash grow.
-- Plan each week how you will spend your allowance while sticking to the 10 percent savings goal.
-- Open a savings account so the bank will start paying interest, which can then add up through the wonders of compounding.
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"This is not (about) how to get rich," said Bair. "You need to be financially secure and to set your sights on the long term."
In my book, that's a pretty clear message to reinforce to our children.
(Questions, comments, column ideas? Call Steve Rosen at (816) 234-4879, send an e-mail to srosen@kcstar.com or write to him at The Kansas City Star, 1729 Grand Blvd., Kansas City, MO 64108.)
